Bob Pittman — the one-time head honcho of MTV Networks, AOL, and AOL Time Warner and founder of the New York-based private equity firm Pilot group — has made a personal equity investment in CC Media Holdings, the holding company of Clear Channel. Pittman will serve as the company’s Chairman of Media and Entertainment Platforms.
CC Media Holdings, Inc. (OTCBB: CCMO) and its wholly-owned subsidiary, Clear Channel Communications, Inc., today announced that Robert W. Pittman, former Chief Executive Officer of MTV Networks and AOL Networks and former Chief Operating Officer of America Online and AOL Time Warner, has made a personal equity investment in the Company and will serve as its Chairman of Media and Entertainment Platforms. In this role, Pittman will work closely with the newly formed Operating Committee of the Board of Directors and the management team to leverage the Company’s unique collection of media assets and spearhead the further development of a comprehensive, integrated digital strategy for Clear Channel in the radio business. Pittman will maintain his current position as Founding Member of Pilot Group, a private equity firm, and continue his activities as a venture investor.
Clear Channel Radio, led by its President and Chief Executive Officer, John Hogan, will report to the Operating Committee of the Board through Pittman, reflecting the long term strategic importance of the core radio business to the Company, and the Company’s focus on further development and execution of opportunities in the digital arena.
“With his background in music, radio and entertainment and track record of success in both traditional and digital media, Bob Pittman will be a terrific ally and contributor to Clear Channel in this new role,” said Mark Mays, Chairman and Chief Executive Officer. “His experience and understanding of the broad spectrum of media, Internet and mobile will be a real asset to our executive team in continuing to build Clear Channel’s core business. Bob will partner with John Hogan both to help set strategic direction for radio and drive the effort to expand our opportunities in the digital arena as well as amplify our outreach to major advertising and marketing partners. This development underscores and is expected to accelerate the transformation of our radio business into an integrated media and entertainment enterprise that leverages all of Clear Channel’s powerful properties.”
“Both as a former operating executive and an investor, this is a dream addition to my portfolio,” said Pittman, whose first job was as a radio announcer at age 15. “The Clear Channel radio stations, with 97 million weekly listeners and high quality programming, provide an ideal foundation for growing the core radio business, and expanding those brands and that audience into new services and onto new devices. With a platform this broad and this deep, we have the ability to experiment in ways other companies can’t.
“Clear Channel’s unique combination of national audience and powerful local execution enables us to promote new products and features to our audience quickly and on a mass level,” added Pittman. “This offers a real opportunity to enhance the experience for consumers, provide powerful marketing opportunities for advertising partners, and develop new, high growth digital businesses for the Company that build on the 12 million unique monthly visitors we already reach online today. I’m looking forward to working closely with the Board and John Hogan and the entire leadership team to help maximize the potential of the outstanding businesses they have built and grown.”
“We are pleased to welcome Bob as a strategic contributor and investor who shares our belief in the strength and future promise of Clear Channel,” said John Connaughton, Managing Director of Bain Capital, and Scott Sperling, Co-President of THL Partners, in a joint statement. “A remarkable transformation in radio programming quality and sales effectiveness has been achieved under the leadership of John Hogan and the radio executive leadership team. Like the rest of the Clear Channel team, Bob is passionate about the power of radio as ‘America’s companion.’ We are excited to work together to enhance Clear Channel’s capabilities in creating value for advertisers, partners and shareholders.”
Pittman began his career programming successful radio stations in Pittsburgh, Chicago and finally at WNBC, the NBC Radio flagship station, in New York City. He was the programmer who led the team that created MTV, and in addition to having served as Chief Executive Officer of MTV Networks and AOL Networks and Chief Operating Officer of America Online and AOL Time Warner, he has also served as Chief Executive Officer of Six Flags Theme Parks, Time Warner Enterprises and Century 21 Real Estate. His honors include being inducted into the Broadcasting and Cable Hall of Fame and receiving the International Radio and Television Society’s Gold Medal award. He has also been named to Advertising Age’s “50 Pioneers and Visionaries of TV” and “10 Marketers Who Changed American Culture.” Pittman has served on the boards of America Online, AOL Time Warner, Cendant, Electronic Arts, and Roberts Radio. He has also served as Chairman of the Robin Hood Foundation and The Public Theater, and currently serves on the boards of other charitable and non-profit organizations.
About CC Media Holdings, Inc.
CC Media Holdings, Inc. (OTCBB:CCMO), the parent company of Clear Channel Communications, Inc., is a global media and entertainment company specializing in mobile and on-demand entertainment and information services for local communities and premiere opportunities for advertisers. Based in San Antonio, Texas, the company’s businesses include radio and outdoor displays.
About Bain Capital
Bain Capital, LLC is a global private investment firm that manages several pools of capital including private equity, venture capital, public equity, high-yield assets, mezzanine capital and absolute return with approximately $64 billion in assets under management. Since its inception in 1984, Bain Capital has made private equity investments and add-on acquisitions in more than 300 companies in a variety of industries around the world. Bain Capital has a long history of investing in a broad range of media and entertainment companies such as Clear Channel Communications, Warner Music Group, The Weather Channel, AMC Theaters, Cumulus Media Partners, Tennis Channel, SinoMedia, ProSiebenSat.1 Media AG and Lala Media. Headquartered in Boston, Bain Capital has offices in New York, Chicago, London, Munich, Hong Kong, Shanghai, Tokyo, and Mumbai.
About Thomas H. Lee Partners
Thomas H. Lee Partners (“THL”) is one of the world’s oldest and most experienced private equity firms. The firm invests in growth-oriented global businesses, headquartered principally in North America, within three broad sectors: Business & Financial Services, Consumer & Healthcare and Media & Information Services. THL’s team of investment and operating professionals partner with its portfolio company management teams to identify and implement business model improvements that accelerate sustainable revenue and profit growth. Since its founding in 1974, THL has acquired more than 100 portfolio companies and has completed over 200 add-on acquisitions, representing a combined value of more than $150 billion. THL’s two most recent investment funds comprise more than $14 billion of aggregate committed equity capital. Notable transactions sponsored by THL include Aramark, Ceridian, Dunkin’ Brands, Experian, Fidelity National Information Services, HomeSide Lending, Houghton Mifflin, inVentiv Health, Michael Foods, The Nielsen Company, ProSiebenSat.1, Snapple, Warner Chilcott, Warner Music Group and West Corporation.
Forward Looking Statements
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